Phil Ruffin: Casino Mogul and Businessman

Phil Ruffin is a shrewd businessman and billionaire from
Wichita, KS. He leads a fairly private life as far as casino
moguls go, tending to stay out of the public eye when he's not
brokering multi-million dollar casino purchases and haggling
with city officials over installing slots at the local greyhound
track.

Starting from a personal fortune of 28 cents in 1950, Phil
Ruffin has amassed a net worth of nearly $2.5 billion. He has
dabbled in a variety of business interests, but he's best known for
his successes in Las Vegas. He owns Treasure Island in Las Vegas
and is half-partner with Donald Trump in the Trump International
Tower.

The Early Years

Phil Ruffin got his start in business after dropping out of
college in Wichita, KS. His life in business dates back to the
1950s, when he managed to scrounge together enough money to buy
a gas station. He parlayed that into another gas station and
then another. He would eventually accumulate a collection of
more than 60 convenience stores and gas stations.

Interestingly, it was Phil Ruffin who envisioned the concept
of self-service gas stations in the United States. It was
required by law in those days that all gas in the United States
be pumped by an attendant. Phil haggled back and forth with
Kansas lawmakers in an attempt to implement his vision. In 1972,
Kansas became the first state to legalize self-service gas
stations.

Phil's next move was to build his first hotel in Wichita. He
would go on to purchase several more hotels, get into the oil
distribution business, and later purchase Harper Trucks: which is
the world's largest manufacturer of hand trucks.

The Gambling Business

Phil Ruffin did well for himself in those early years, but
that was nothing compared to the success he would see upon
entering the gambling business. Phil's first move in that area
was to purchase the Crystal Palace resort and casino in the
Bahamas in 1995.

He got the money for the purchase by leasing his gas stations
in total for 20 years at $2.2 million a year. He then borrowed
$20 million against that lease and put it up to buy Crystal
Palace, which was worth $80 million at the time. $60 million of
that purchase price was comprised of outstanding debts. Despite
the debt that came with the property, the investment paid off in
a big way.

Later,
Phil mortgaged that property to get an additional $50 million so
that he could make one of his most famous purchases: The New
Frontier Casino in Vegas. Phil also agreed to pay an additional
$110 million over the next five years. It was a big purchase for
Phil at the time, but he had a plan.

At the time, the owners of the New Frontier were locked in a
nasty battle with Culinary Union. The union was demanding higher
wages and the then-owners were not having it. Both sides could
not come to an agreement. The dispute was nasty, sometimes
violent, and very public.

Phil stepped in, bought the property and quickly made a deal
with the Culinary Union. He agreed to the higher wages and
promptly ended the dispute. He took ownership of the property in
1998. In 2005, he sold Crystal Palace in the Bahamas for nearly
$150 million.

Flush with cash, Phil was tempted to take a billion dollar
loan from any of the numerous banks that were willing to do
business with Ruffin. The idea was to demolish the New Frontier
and replace it with a new mega resort, but he was wary to take
on that much debt. So instead, he held onto the property and bid
his time.

Phil entered billionaire status in 2007 when he closed a $1.2
billion deal with El Ad Properties for the purchase of the New
Frontier. The deal set a Las Vegas record at $33 million per
acre. Phil was now officially one of the richest men in the
world.

His next and biggest purchase was the Treasure Island Hotel
and Casino in 2009. Phil purchased it from MGM Mirage for a
grand total of $775 million. At the time, MGM was having
financial troubles and was happy to get a decent price for the
property. It's very likely that Phil saved hundreds of jobs
with this purchase. The very next year, Treasure Island alone
earned more than $375 million.

Phil
is long-time friends with Donald Trump and has a half-ownership
stake in the Trump International Tower in Chicago. He also owns
the now-defunct Wichita Greyhound Park which includes property throughout the
Midwest and about a dozen hotels.

Phil was forced to close the Wichita Greyhound Park in 2007
after his efforts to install slot machines failed. With the
track unable to support itself on racing alone, Phil attempted
to get a bill passed that would allow slot machines on the
property. Voters rejected the bill in 2007, but Phil has talked
about giving it one more push. If successful, Phil would invest
anywhere from $50 million to $100 million to renovate the
property and hire employees.

Personal Life

Phil maintains a low profile in the public eye, but we do
know that he married 2004 Miss Ukraine winner Oleksandra
Nikolayenko in 2008. Donald Trump was the best man at the
wedding.

Phil is also a poker player, although his level of interest
is unknown. He appeared on GSN's High Stakes Poker in 2011. In
all likelihood, Phil's interest in poker probably isn't all that
encompassing. It would be hard to find a game anywhere in the
world that could raise the heart rate of this billionaire.

He has homes in Wichita, California, Florida, and New York
City; he travels between locations on a private jet. He is the
father of four children.